Telephone and Data Systems (NYSE:TDS) Sets New 52-Week High – Time to Buy?

Telephone and Data Systems, Inc. (NYSE:TDS) hit a new 52-week high during trading on Wednesday . The stock traded as high as $44.42 and last traded at $43.8020, with a volume of 131490 shares trading hands. The stock had previously closed at $42.61.

Wall Street Analyst Weigh In

A number of research firms recently commented on TDS. Weiss Ratings reiterated a “sell (d)” rating on shares of Telephone and Data Systems in a research report on Monday, December 29th. Zacks Research cut shares of Telephone and Data Systems from a “strong-buy” rating to a “hold” rating in a report on Thursday, January 1st. Wall Street Zen downgraded Telephone and Data Systems from a “hold” rating to a “sell” rating in a research note on Saturday, November 15th. Finally, Citigroup raised their target price on Telephone and Data Systems from $45.00 to $51.00 and gave the company a “buy” rating in a research report on Wednesday, January 7th. Three analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Telephone and Data Systems has an average rating of “Hold” and a consensus price target of $51.67.

Telephone and Data Systems Price Performance

The company has a market capitalization of $5.04 billion, a P/E ratio of -40.55 and a beta of 0.32. The company’s 50-day simple moving average is $39.43 and its 200 day simple moving average is $38.88. The company has a quick ratio of 1.88, a current ratio of 1.89 and a debt-to-equity ratio of 0.20.

Telephone and Data Systems (NYSE:TDS) last announced its earnings results on Friday, November 7th. The Wireless communications provider reported $0.07 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.06) by $0.13. The business had revenue of $308.52 million for the quarter, compared to analyst estimates of $1.16 billion. Telephone and Data Systems had a negative net margin of 1.46% and a positive return on equity of 1.15%. Telephone and Data Systems’s revenue was down 5.8% compared to the same quarter last year. During the same quarter in the previous year, the firm posted ($0.73) earnings per share. As a group, sell-side analysts expect that Telephone and Data Systems, Inc. will post -0.31 earnings per share for the current fiscal year.

Telephone and Data Systems Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, December 30th. Stockholders of record on Monday, December 15th were issued a dividend of $0.04 per share. The ex-dividend date of this dividend was Monday, December 15th. This represents a $0.16 annualized dividend and a dividend yield of 0.4%. Telephone and Data Systems’s dividend payout ratio (DPR) is presently -14.81%.

Insiders Place Their Bets

In related news, CAO Anita J. Kroll sold 870 shares of the firm’s stock in a transaction that occurred on Tuesday, November 11th. The shares were sold at an average price of $39.16, for a total value of $34,069.20. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Insiders own 14.48% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Bessemer Group Inc. raised its holdings in shares of Telephone and Data Systems by 65.6% during the third quarter. Bessemer Group Inc. now owns 699 shares of the Wireless communications provider’s stock worth $28,000 after acquiring an additional 277 shares during the period. Jones Financial Companies Lllp increased its holdings in shares of Telephone and Data Systems by 121.3% in the third quarter. Jones Financial Companies Lllp now owns 830 shares of the Wireless communications provider’s stock valued at $31,000 after purchasing an additional 455 shares during the last quarter. JPL Wealth Management LLC acquired a new stake in Telephone and Data Systems during the third quarter worth approximately $33,000. Assetmark Inc. lifted its holdings in shares of Telephone and Data Systems by 53.1% during the second quarter. Assetmark Inc. now owns 1,297 shares of the Wireless communications provider’s stock worth $46,000 after buying an additional 450 shares in the last quarter. Finally, EverSource Wealth Advisors LLC grew its position in shares of Telephone and Data Systems by 191.3% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,311 shares of the Wireless communications provider’s stock worth $47,000 after purchasing an additional 861 shares in the last quarter. Institutional investors own 80.00% of the company’s stock.

Telephone and Data Systems Company Profile

Telephone and Data Systems, Inc (NYSE: TDS) is a diversified telecommunications company headquartered in Chicago, Illinois. Through its subsidiaries, the company provides a broad array of communications services, including wireless voice and data, wireline broadband and voice, cable television, and managed IT and cloud solutions. Its two primary operating units—TDS Telecom and U.S. Cellular—serve residential, business and wholesale customers across the United States.

TDS Telecom focuses on delivering broadband internet, digital voice, video and data communications services in primarily rural and suburban markets.